Gear up for greater capital asset and depreciation functionality

Roan Lavery

CEO, Co-founder

Capital assets for businesses come in all shapes and sizes - from cars and furniture to land or a business patent. That’s why we’ve rolled out exciting new functionality that gives you more flexibility to make FreeAgent work better for you.

First off, you can now use different methods to calculate depreciation - previously FreeAgent supported the straight line method on a yearly basis for a maximum of seven years. Now you’re able to choose the relevant method, and let FreeAgent take the wheel to calculate all of the ongoing depreciation calculations for you. FreeAgent now supports: 

1. The reducing balance method of depreciation
2. Assets that don’t depreciate, such as land and investments
3. Assets depreciating on a monthly basis
4. Asset lifetimes of up to 25 years when depreciating using the straight line method

But that’s not all, we’ve also made improvements to the Capital Assets report to include these newly supported scenarios for your assets. You can now view a net book value running balance for individual capital assets. In other words, you can see an estimate of how much your asset is worth at any given time. And an added bonus - you can now export the report. 

Now that we’re in gear, we’re not stopping. New FreeAgent accounts will soon contain default nominal codes for land and property assets. You’ll also be able to choose a default depreciation method and apply a capital allowance to all new capital asset types you create.  

For more details about how to add and manage capital assets in FreeAgent, head on over to the Knowledge Base or head into FreeAgent to check out your Capital Assets report.